Harley Davidson Marketing PlanPresented By: The Four Peas

Kat GillespieChris LadukeErica MarshallWhitney Phoon

Harley Davidson Marketing Plan Objectives

Create & Increase Awareness Increase Sales Expand Sales Locations

Create & Increase Awareness

Age of Harley Davidson motorcycle riders has increased

Young males and females don’t have interest in the brand

Lack of female riders

Increase Sales

Increase company sales by 10 percent

Younger Target audience Increase customer base

Expand Sales Locations

Harley owns half the U.S Market share, 1/3 of the global market

Becoming ideal – National Export Initiative

Other companies are expanding globally – noticing positive results

Expanding into Brazil Reduces taxes, makes motorcycles

affordable to a larger target audience

Differentiation

33% of owners previous owned competitor motorcycle

Not about the product – about the brand “There’s not a motorcycle riding

experience like a Harley Davidson’s” Competitors: Yamaha, Suzuki, and

Honda More interested in price and sales Create commercial and print ads with

younger demographic

Positioning

Already brand trust from customers Position so that Harley attains

younger demographics interest at earlier ages

Confidence in market is directly proportional to customer purchases – need young digerati to have confidence in market

Current Demographics Male (88.5%) Big Fish, Small Pond

Middle Age 45-50 Median Income $80,000-$90,000

2007 Purchases 52% Previously Owned a Harley motorcycle 33% Owned a competitive motorcycle 15% First motorcycle purchased

Median Age Median Income

Statistics based on years 2004-2008 from harleydavison.com

Marketing Strategy

Target Market Young Digerati Young Influentials

Marketing Mix 4 P’s▪ Product: Harley Davidson Motorcycles▪ Price: $8,000 - $40,000▪ Promotion: TV commercials, billboards, online,

etc.▪ Place: Wisconsin, South Dakota, North Dakota

Target Market

Young Digerati Wealthy, Younger Family Mix Age25-44 Ethnically Diverse Median Income $88,728 2009 – 1.21% of US Households

Young Influentials Midscale, Younger w/o Kids Age <35 Ethnically Diverse Median Income $50,454 2009 -1.46% of US Households

Google Insights for Search

Geographic areas & volume of search

From 2004-2010, repeating rate Wisconsin- search volume index of 100 South Dakota – 96 North Dakota - 86

PLACE

Harley should be located in bustling cities with high market exposure.

Wisconsin, South Dakota, and North Dakota are the states with the most highest market exposure.

Face- to –Face or Direct sales are crucial to Harley’s sales.

Product

Market Maturity

Sales Decline

• Made in America• Offers Classes on Motorcycle

Safety• Online Safety Knowledge

• Offering regular and extended warranties

• Specially made saddle bags and other accessories unique to Harley

PROMOTION

NO!

PROMOTION

Getting Closer

PROMOTION

YES!

PRICE

Price Ranges from about $8,000 to $40,000

Being a Specialty Product, the price must remain somewhat high to maintain the value and prestige of the brand.

Harley offers financing for up to 60 months!!

Implementation & Control

Special Implementation Problems to Overcome

Control Budget & Sales

Forecast Timing of

Implementation activities

Contingency Sales

Special Implementation Problems to Overcome

Necessary expenditures to carry out the new strategy: TV ad: Priced at an estimate $350000 to

produce & $100000 to air Use the current marketing staff, but

increase their role in social media to keep contact with customers

Create events that are located in a more diverse, hip area

Control

Increase sales Awareness Number of customers of various target audiences

Results will be monitored quarterly Incurring changes in segmentation and imaging must

not conflict with the needs & wants of the current clientele▪ Obligations to watch & maintain:▪ Blogs▪ Events▪ Interaction between the customer and sales rep▪ Clientele Sites

Relationship with investors and stockholders

Budget Estimates & Forecast

Marketing tactics, yet to be set at a numerical value Customer satisfaction follow-ups Design services for various promotional

materials Continuous website design Participation in community events TV ads Regulation customer first training

http://money.cnn.com/quote/forecast/forecast.html?symb=HOG

Timing

Currently ranked in the Sales Decline stage, but with the new plan rolling out soon, developing changes will slowly take its place and keep Harley in the competitive market

Contingency Sales

http://investor.harleydavidson.com/releasedetail.cfm?ReleaseID=519945

THE END!